DON’T TAX e] YM Y LOAN!

About half of Canadian post-secondary students depend on the Canada Student Loan Program to help Offset the cost of their education. With rising tuition fees and increasing living costs students are forced to incur greater debt loads.

The Canada Student Loan Program does not meet the needs of post-secondary students and is in serious need of reform.

Did you know...there are no national standards in the provision of student aid, in fact, there are 12 different student aid programs in the country.

Did you know...Canada is one of the few countries in the western world which does not offer students a national system of grants.

Did you know...current loan allowances are based on cost of living figures that have not been updated since 1984.

Did you know...the part-time student loan program is so inadequate that less than 1% of Canada’s 450,000 part-time students use the program.

Did you know...in 1988 the average debt load for graduating students was $6,000 and nearly 10% graduated with debts exceeding $13,000. When combined with provincial student loans many have debt loads of over $15,000.

The Federal government's solution to the student debt load crisis has been the introduction of a 3% administrative fee as a measure to “encourage responsible borrowing and deter loan defaults”. In effect, this measure is nothing more than a discriminatory service tax.

As of August 1st 1991, the 3% tax will be added to your student loan. This means $150 will be \ applied to a $5,000 loan and you will be paying interest on $5,150.

What this tax really means is...those students who can least afford the cost of a post-secondary education are being taxed for going into debt.

What this tax really means is...an added barrier to post-secondary education.

What this tax really means is...the Mulroney government does not recognize the current financial barriers faced by students.

What this tax really means is...this government is not committed to a fully accessible post-secondary education.

The real Solution is... The real solution to the debt load crisis is a national system of grants, not loans! The Canadian Federation of Students wants the proposed 3% tax on student loans withdrawn immediately.

Did you know...there’s still time for students to make a difference, we can beat the 3% tax!

6 CANADIAN FEDERATION OF STUDENTS